Intel acquires McAfee for $7.68 billion

Firm says deal will deliver safer net experience

Intel has announced plans to purchase security firm McAfee for $7.68bn.

The chip company will acquire McAfee's common stock for $48 per share in cash in the dea, which has been approved by the board of directors at both of the companies.

McAfee will become a wholly-owned subsidiary of Intel and report to Intel's Software and Services Group, which is headed up Renée James, Intel's senior vice president.

According to Intel, today's security approach does not fully address the billions of new internet-ready devices connecting, including mobile and wireless devices, TVs, cars, medical devices and ATM machines as well as the accompanying surge in cyber threats. Providing protection to a diverse online world requires a fundamentally new approach involving software, hardware and services.

"In the past, energy-efficient performance and connectivity have defined computing requirements. Looking forward, security will join those as a third pillar of what people demand from all computing experiences," said Intel's president and CEO, Paul Otellini.

"The addition of McAfee products and technologies into the Intel computing portfolio brings us incredibly talented people with a track record of delivering security innovations, products and services that the industry and consumers trust to make connecting to the internet safer and more secure."

Dave DeWalt, president and CEO of McAfee, which was founded in 1987, said the cyber threat landscape has changed dramatically over the past few years, with millions of new threats appearing every month

"We believe this acquisition will result in our ability to deliver a safer, more secure and trusted internet-enabled device experience."

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